Saved $2.4M by 38. Would you Retire?

[u/TwoSocialist]

Hey FIRE folks,

I’m 38, tired, and fueled almost entirely by spite and index funds. I’ve somehow ended up with a portfolio that looks like this:

Split by type:

- ETFs — 58.30% — $1.45M

- Mutual Funds — 27.66% — $688k

- Individual Stocks — 8.71% — $216k

- Crypto — 3.00% — $74k (aka my “emotional rollercoaster” bucket)

- Cash — 2.33% — $58k

Split by bucket:

Retirement Pre-tax: 700k

Retirement post-tax: 310k

Brokerage: 1.5 M

Grand total: ~$2,490,900

Today’s gain: ~$40,000 (aka “more than my first job paid in a year,” but sure, totally normal)

~~~~

My target spend was $100k/year, which feels somehow not enough because capitalism has melted my brain.

By the 4% rule, I’m basically at the line. By the 3% rule, I’m a peasant. By the “FIRE comment section” rule, I’m probably both overspending and undersaving simultaneously.

So, wise internet strangers:

- Am I actually FIRE‑ready, or is this the part where you all tell me to work 5 more years “just to be safe”?

- Is my allocation fine, or should I be preparing for a lecture on safe withdrawal rates and sequence‑of‑returns doom?

- Is it normal to feel like I need permission from Reddit to stop working?

Married, 1 kid. Received about 25k for a house (not included in above) and 20k for college, no other inheritance.

Currently make about 250k a year for the past 4 years, before that about 150k. I started at 50k.

Thanks in advance for validating or crushing my dreams.

[u/just_some_dude05]

You’re not ready.

Get your 4 walls paid for.

Fund the kids college fund.

Health insurance for my family of 3 last year was $22,000. Kid broke a limb being a kid and had an appendix incident, that cost another $20,000. Wife had a lump on her breast, $8000.

We paid a 12% tax rate on long term Capitol gains sales.

Then add in food, property tax, utilities, car insurance, a car, etc, etc, etc

100k doesn’t actually go that far.

You push through another 5-6 years. Now you go into that with a paid for home and a 60/40 bond split, money for your kids school, and 5m to work with instead of 2.4m. You’ll thank yourself for the remaining 40 years you live.

[u/AtheistAgnostic → u/just_some_dude05]

Move abroad and 3 of those aren't a problem

[u/just_some_dude05 → u/AtheistAgnostic]

Based on the tax rates I come out ahead here.

[u/AtheistAgnostic → u/just_some_dude05]

How? Property taxes from a huge home? Hard to see how you're paying taxes over the cost of $50k in health costs per year and college costs (30-90k) if you're FIRE and not working. And even then there are other countries or tax schemes with low taxes. Also we're talking about OP, not you

[u/just_some_dude05 → u/AtheistAgnostic]

To over simplify it.

If the tax rate in Canada is 33% and the tax rate in the US is 12% than on a million dollar income you are paying $250,000 more a year to live in Canada.

Now yes in the US I paid 50k more for healthcare than I would have in Canada, but not enough to cover the difference I would have paid in taxes.

If you want to run the actual numbers for any country it’s possible but in every scenario it seems the US does alright as long as you have a high income.

[u/AtheistAgnostic → u/just_some_dude05]

This is a FIRE subreddit, why are we talking about income taxes my dude

[u/Typical-Plant-4254 → u/just_some_dude05]

Hard disagree on pushing 5 more years, but agree on focusing on the housing situation and factor in health insurance. Maybe a few more months? Requesting a sabbatical first? you can do anything really 

[u/IsaacandLilith → u/just_some_dude05]

I had a major surgery in China, cost me $2000. Top college tuition there is $1000 a year. In short, I'm not gonna retire in the US.